The chart below of gold futures shows the Accumulative Swing Index:
Accumulative Swing Index as a Confirmation Tool
In the chart shown below, the Accumulative Swing Index confirmed Gold's downtrend. Subsequently, when Gold broke the downward trendline, the Accumulative Swing Index confirmed the trendline break as well.
Similarly, the upward move in the Gold futures contract was confirmed by the Accumulative Swing Index and the upward trendline break was confirmed too.
Buy Signal - Accumulative Swing Index
Buy when Accumulative Swing Index breaks above a downward trendline or, in a price consolidation period, above resistance.
Sell Signal - Accumulative Swing Index
Sell when the Accumulative Swing Index breaks below an upward trendline or, in a price consolidation period, below support.
In summary, the Accumulative Swing Index is best used as a confirmation tool with other technical indicators and charting patterns